Dell Technologies Inc.

Good afternoon and welcome to the fiscal year 2027 first quarter financial results conference call for Dell Technologies, Inc. I'd like to inform all participants this call is being recorded at the request of Dell Technologies. This broadcast is the copyrighted property of Dell Technologies, Inc. Any rebroadcast of this information in whole or part without the prior written permission of Dell Technologies is prohibited. Following prepared remarks, we will conduct a question and answer session. If you have a question, simply press star then one on your telephone keypad at any time during the presentation. I'd like to turn the call over to Paul France, head of investor relations. Mr. France, you may begin.

Thanks, everyone, for joining us. With me today are Jeff Clark, David Kennedy, and Tyler Johnson. Our earnings materials are available on our IR website, and I encourage you to review these materials. Also, please take some time to review the presentation, which includes additional content to complement our discussion this afternoon. During this call, unless otherwise indicated, all references to financial measures refer to non-GAAP financial measures, including non-GAAP gross margin, operating expenses, operating income, net income, diluted earnings per share, free cash flow, and adjusted free cash flow. A reconciliation of these measures to their most directly comparable gap measures can be found in our web deck and our press release. Growth percentages refer to year-over-year change unless otherwise specified. Statements made during this call that relate to future results and events are forward-looking statements based on current expectations. Actual results and events could differ materially from those projected due to a number of risks and uncertainties which are discussed in our web deck and our SEC filings. We assume no obligation to update our forward-looking statements. Now, I'll turn it over to Jeff.

Thanks, Paul, and thanks everyone for joining us. What a great start to FY27. The first quarter underscored the strength and agility of our operating model and the advantage of our broad portfolio. Our team executed very well in a challenging environment delivering record revenue and EPS. Revenue was $43.8 billion up 88% and earnings per share was $4.86 up 214%. Demand was stronger than we anticipated across all lines of businesses and geographies with customers moving decisively to secure supply across a broad range of IT needs. This drove meaningful scale, record cash generation, and continued strong capital returns for shareholders. Our strong performance reflects not only demand in the quarter, but also the pace of innovation we continue to bring to market across the full stack of PCs, compute, and storage. We have had a strong run of announcements since our last call. At GTC, we marked the two-year anniversary of the Dell AI factory with NVIDIA and extended our leadership in accelerated computing. We introduced new infrastructure across NVIDIA's VeraRubin rack scale platform, the Rubin GPU architecture, and RTX GPUs, with form factors that scale the AI factory from the largest clusters in the world to the flexibility and efficiencies enterprises need. We also extended AI to the desktop with the new Dell Pro Max systems, supporting the GB10 and introducing the industry's first OEM desktop with GB300. At Dell Technologies World, we built on that momentum with new desk-side server storage and data management innovations. Our desk-side agentic AI solutions help enterprises run production-ready AI locally, supporting use cases like coding, research, and secure private assistance while keeping sensitive data and IP on-prem. Building on strong demand of our integrated rack-scale systems, where Dell is the top rack-scale infrastructure provider, We expanded the portfolio with the launch of Dell Power Rack, a turnkey factory integrated solution designed to accelerate deployment across compute, networking, and storage. In servers, our 18th generation of PowerEdge Server Portfolio expands support for AI, HPC, and enterprise workloads with new air-cooled systems that improve compute density and efficiency. On the data side, advancements in the Dell AI data platform help customers make enterprise data ready at scale with stronger orchestration, faster indexing of unstructured data, and improved analytics performance. We further strengthened the storage foundation from modern and AI workloads. PowerStore Elite delivers up to 3x performance and density than prior generations with an industry-leading six to one data reduction guarantee. Object scales adds higher density object storage, and PowerFlex extends our exascale storage architecture with a unified approach across block, file, and object workloads. We continue to expand the Dell AI factory ecosystem with partners including NVIDIA, Google Cloud, OpenAI, SpaceX AI, ServiceNow, Palantir, Nostral, and CrowdStrike. For example, with Google Distributed Cloud, we are bringing Gemini models on premises with confidential compute so customers can run AI closer to the data while meeting data residency, privacy, and sovereignty requirements. The bottom line, Dell is expanding the AI factory from the data center to the desk side across compute, storage, networking, software, and services. We're giving customers choice, helping them protect their data, and enabling them to move from pilots to production faster. With that context, let me walk you through what we're seeing in the business. Our Q1 results, NAI, the opportunity remains exceptionally strong, underscored by durable, broad-based demand. In Q1, we booked $24.4 billion in AI orders and recognized $16.1 billion of AI server revenue. We exited the quarter with a record $51.3 billion of AI backlog, and our pipeline continued to grow sequentially and remains multiples of our backlog. even after converting $24.4 billion into orders. Demand continues to exceed supply, with memory as the primary constraint, and we expect to exit the year with meaningful backlog. Our customer count surpassed 5,000 with growth across NeoCloud, Sovereigns, and Enterprise customers. Our differentiated offering continues to resonate, and our expanding platforms and capabilities are supporting continued share gain. We believe those share gains are rooted in things that have long differentiated Dell. Strong engineering and design, the ability to deploy and install at scale, ongoing services and support, and flexibility financing and consumption options. In AI, those advantages matter even more. Customers are not just buying components. They are looking for integrated solutions they can put into production quickly on infrastructure they control, with the performance, security, and data foundation their workloads require. Moving to traditional servers, revenue is up 92% as demand remained well ahead of supply in Q1 with strength across every region. The majority of demand was driven by large enterprise customers refreshing their compute environments and expanding capacities to support growing workloads. For many large customers, ensuring compute availability to modernize and grow remains their highest priority. Customers are also increasingly focused on infrastructure density as they optimize both spend and data center space, which is driving demand in platforms that deliver more compute capacity, greater efficiency, and better consolidation within existing footprints. Additionally, we saw AI inference workloads driving incremental demand for traditional compute. The majority of the installed base remains on 14th generation or older servers reflecting the continued refresh opportunity going forward. The memory uncertainty is driving customers to proactively secure access to infrastructure across both traditional and AI workloads over longer periods of time. We also continued to execute the pricing and margin discipline we established in Q4. All in, we remain confident in the demand outlook for traditional servers, and our portfolio is well positioned to capture that opportunity. Turning to storage, revenue was up 8%, driven by continued outperformance in our Dell IP portfolio. Dell IP delivered a record demand growth quarter, making our fifth consecutive quarter of demand growth above market. In primary storage, we saw notable strength in PowerMax and PowerStore. We continue to see momentum in the mid-range ecosystem, with PowerStore delivering its eighth consecutive quarter of double-digit demand growth. In unstructured, We saw strong performance from power scale and object scale with three consecutive quarters of growth, including double digit in each of the last two quarters. Dell IP storage continues to become a larger mix of Dell storage with its higher margins. And as a result, storage delivered strong profitability and was a key driver of overall ISG profitability in Q1. Turning to CSG, revenue grew 17% and we gained share for the second consecutive quarter with broad-based demand led by large enterprise customers. Commercial revenue grew 18%, our seventh consecutive quarter of growth, with demand up for the ninth quarter. Large enterprise customers continue to refresh with double-digit growth across all regions. We continue to see runway in the refresh cycle with roughly one-third of the install base consisting of devices four years or older. Consumer revenue was up 9%, our third consecutive quarter of demand growth, supported by continued strength in gaming. Overall, CSG profitability improved as better expected demand drove higher attached, greater scale, along with improved consumer profitability. In closing, Q1 was a strong start to FY27 and another proof point in the power of our operating model. We delivered record revenue, EPS, and cash flow, and continued returning capital to shareholders, while executing with discipline in a challenging demand and supply environment with notable commodity constraints, particularly in DRAM and NAND. Customers have come to rely on Dell during periods of significant disruption, and we expect that to continue over the course of the year. Our customers are investing in AI infrastructure, modernizing compute, expanding storage, and refreshing PCs to support the next wave of workloads. We are well positioned with our portfolio. I am proud of the team's execution and confident in our ability to create long-term value for customers and shareholders. With that, let me turn it over to David to walk through the financials and our outlook.